Cement Prices Rise in June, Led by Sharp Hike in South India

India’s cement prices are seeing mixed trends in June 2025, with a sharp rise in the South pushing up the national average despite softer or flat pricing in other regions. According to a dealer check by Nomura, the all-India average trade price has increased by ₹2 per bag, now standing at ₹358.

The surge is largely driven by a ₹19 per bag hike in South India, following mid-May price increases in Tamil Nadu and Kerala. However, dealers in the region report that demand remained flat or slightly down in May, and expect the early onset of the monsoon to weigh on June consumption.

In contrast, Central, Western, and non-spike areas in the South saw price corrections of ₹3, ₹5, and ₹2 per bag, respectively. The monsoon’s early arrival is expected to slow construction activity, traditionally leading to lower cement demand in the June-September period.

Regional Highlights – June 2025:

South India:

• ₹19 per bag hike, the steepest across regions.
• Volumes flat to slightly down in May.
• Outlook cautious as monsoon clouds demand.

East India:

• Minor corrections of ₹3–₹5 per bag in Kolkata and Bihar.
• Demand improved in May.
• No further hikes are expected in June.

North India:

• Prices largely flat; token hikes of ₹2–₹4 to maintain levels.
• Rajasthan saw a 15% rise in demand month-on-month.
• June is expected to remain steady in both price and demand.

West India:

• Prices dropped ₹5 per bag in May.
• Weak demand is likely to persist in June, with prices expected to remain stable.

Central India:

• Modest moderation in pricing.
• Demand outlook remains muted.

On a quarter-on-quarter basis, average trade prices are up across all regions except Central India. Nomura notes that while pricing discipline remains firm, monsoon-linked demand pressures could cap further price hikes in the coming weeks.